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ServiceTitan Report Finds Commercial Contractors Focused on Profitability, AI

A survey of 1,020 commercial contractors examines AI adoption, cash flow, service agreements, cost pressures and field information gaps.

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ServiceTitan

ServiceTitan’s 2026 Commercial State of the Trades report finds commercial service contractors increasingly focused on profitability, cash flow and technology adoption.

The report, based on a survey of 1,020 commercial owners, executives and general managers conducted July 10-28, found that 62% of firms have piloted or deployed artificial intelligence, while 33% actively use or have embedded AI across their businesses. AI also rose from 15% in 2025 to 33% in 2026 as a top technology priority.

Among contractors using AI, 59% reported a positive impact, though only 15% reported a significant positive impact with clear return on investment. Scheduling and dispatch, cited by 37% of respondents, ranked as the area where contractors expect AI to have the greatest impact, followed by predictive maintenance at 31%.

Cash flow also emerged as a growing concern. Forty percent of contractors ranked improving cash flow among their top three business goals, up from 28% in 2025. While 82% send invoices within three days of completing work, 96% reported waiting at least 15 days for payment.

Cost pressures remain another challenge, with 73% of respondents reporting that tariffs materially affected their businesses over the past year. Rising material costs, labor shortages and overhead expenses were also cited as concerns.

The survey also found that 69% of contractors consider access to warranty coverage and service agreement details a top field information challenge. Spare parts and equipment service histories were additional areas where technicians reported information gaps.

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